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General Management In Business I

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  1. General Management In Business I Ass. Prof. Dr. Özgür KÖKALAN İstanbul Sabahattin Zaim University

  2. Chapter Objectives • Definewhatleadingfunction is • Classifyleadershiptheories • Define whatthemotivation is • Classifymotivationtheories

  3. Leading • It is defined as use of influencetodirectandmotivatetheemployeestoaccomplishtheorganizationalgoals. • Thisfunctionmainlyfocuses on people in theorganization.

  4. Leadership in Managing People • Leadership is linkedwithbehavior. It is a processthat an individualinfluencesotherpeopleto do theirworktowardtheattainment of theoverallorganizationalgoals. • Leadershipneedsfollowers. The role of leader is todirectthefollowerstowardthegoals. • Thestyle of leadershipandthereaction of followerswill be determinedbythesituationssuch as thetask, positions, relations, externalpressuresandso on.

  5. TheClassification of LeadershipTheories • Leadershiptheoriesareclassifiedintothreegroups: • TraitTheory of Leadership • Behavioral (Styles) Theories of Leadership • ContingencyTheories

  6. TraitTheory of Leadership • Thesuccess of leaders is undoubtedlyduetotheirpersonalqualities. • Personaltraitssuch as intelligence, appearance, socialmaturity, humanrelationattitudesandso on have an impact on successfulleadership in theorganization.

  7. Behavioral (Styles) Theories of Leadership • Thesetheoriesseeleadership as an aspect of behavior at workratherthan as personalcharacteristics. • Somewell-knownbehavioraltheories of leadershipare: • Authoritarian – DemocraticLeadership Style in a Continuum. • TwoDimensionalLeadership Style.

  8. Authoratarian – DemocraticLeadershipStyles in a Continuum • Accordingtothistheory, managershave a choicebetweenbeingeitherauthoratarianordemocratic. • The main weakness of thistheory is that it putsmoreimportanceandstresses on theleader’sbehaviorthantheotherkeyvariables of leadership.

  9. Two-DimensionalLeadership Style • Twoimportantandseperatedimensions in leadershipbehaviorare • Consideration – considerate of employeefeelings, relationshiporientations. • Initiatingstructure – behaviorconcernedwithworkprocesses, formaltaskformalities. It is possibleformanagertoscorehigh in bothdimensionsthatcontrastwiththeleadershipstyles in thecontinuum.

  10. Leaderswithbestperformanceandgreatersatisfactionare in thissectiom High Consideration for People Low LowInitiatingStructure High

  11. ContingencyTheories of Leadership • There is noonebestleadershipbehaviorthatfitseveryotherbusinesssituation. • FredFiedlercategorizesthetwodimension of leadershipbehavior as • Relationship – orientedbehavior ; leadershavepositiveandconsiderablerelationshipwithsubordinates. • Task –orientedbehavior; leadersareconcernedmuchabouttaskaccomplishment. Thesetwodimension of leadershipbehaviorarestudiedunderthreesituationalvariables, • Leader – memberrelation • Degree of task’sstructure (complexity of tasks) • Powerandauthority of theposition

  12. Motivating People in Organizations • A motive is a need. • Motivescreate an internaltension in humansthatdirectsspesificbehaviorresulting in actionstofulfilltheneeds. • Ifthebehavior is succesfulsothepersongetsrewardsthatsatisfytheneeds. • Theserewards can be intrinsic(individual’sinnersatisfactionreceived in accomplishment) orextrinsic ( rewardgivento an individualbyanotherpersonforsuccessfulaccomplishment.

  13. Motivation is mainlyclassifiedintotwotypes of theories: • Content theories of motivation • Processtheories of motivation.

  14. Content Theories of Motivation • Theyattempttodeterminewhatgenerallymotivatespeople at work. • Theyareconcernedwiththestudy of needsthatmotivatepeople • Therearetwoimportantcontenttheories in motivation: • Maslow’sHierarchy of Needs’ Theory • Herzberg’sTwoFactorTheory of Motivation

  15. Maslow’sHierarchy of Needs’ Theory

  16. Physiologicalneeds: people’sbasicneedssuch as hunger, sleep… • Safetyneeds: peopleneedsecurephysicalandemotionalenviromentprotectedfromviolenceandthreats • Socialneeds: peopleneedtomakefriendshiporto be a part of a group. • Esteemneeds: People needforpower, statusandrecognitionbyotherpeople. • Self – actualizationneeds: Theyarethehigherneedsfor self-fullfillment, developingone’sfullpotential, competence.

  17. Herzberg’sTwo- FactorTheory of Motivation. • Inthistheory, Therearetwofactoraffectingpeople’smotivation: • Hygienefactors: areequaltoMaslow’slowerlevelneedssuch as physiological, safetyandsocialneeds. Theyareveryimportantandshould be present in workplacetopreventdissatisfaction, but they do not motivatepeople. • Motivators: equaltoMaslow’shigherlevels of needs ( esteemand self –actualization). AccordingtoHerzberg, tomotivatepeople at work, managersshouldgivethehigherlevelneeds, themotivators.

  18. ProcessTheory of Motivation • Theyareconcernedwith how todirectbehavior at work. • Theyexplain how workerschoosebehavioralactionstosatisfytheirneeds. • Therearetwoimportantprocesstheories in motivation: • Vroom’sExpectancyTheory of Motivation • TheEquityTheory

  19. Vroom’sExpectancyTheory of Motivation • Motivationdepends on people’sexpectationabouttheirabilitytoperformtasksthatwill be followedby a desiredoutcome.

  20. To be motivatedindividualsshouldbelievethat: • Theireffortswillleadtohighperformance • High performancewillleadtooutcome • Theoutcome is desiredbythem ( Thevalue of outcomefortheindividual is called as valence) Theprocess can be formulated as follows: Motivation = Effort x Performance x Valence

  21. EquityTheory of Motivation • Thistheoryfocuses on an individual’sperception of how fairly he is treatedrelativetootherpeople in similarjobs. • An individualwillevaluateequityby a ratio of inputtooutcome. • Inputsareeffort, experience, education, ability , etc. Outcomesare pay, recognition, promotion, statusetc. • An individual’soutcometoinputratiowill be comparedwiththeotherindividual’soutcomeandinputratios. • Iftheratiosareout of balancethenperceivedinequitywillcreatetensionswithintheindividuals. Insuchsituationindividualswill be motivatedtobringequityintobalance